Question

Last year, $2,628.32 was withheld from your pay for federal taxes. When you calculate the amount of federal tax you owe, it comes to $2,981.55. What does this mean?(1 point) Responses You will get $353.23 back from the government. You will get $353.23 back from the government. You must use $353.23 of the money that was withheld from your state taxes. You must use $353.23 of the money that was withheld from your state taxes. You have cost the government $353.23. You have cost the government $353.23. You must pay an additional $353.23.

Answer 1

When you have federal taxes withheld from your pay, this is an estimate of what you owe for the year. In your case, $2,628.32 was withheld, but your actual federal tax liability came to $2,981.55. This means that you owe more than what was withheld.

The difference between what you owe and what was withheld is:

\[ $2,981.55 - $2,628.32 = $353.23 \]

Since you owe $353.23 more than what was withheld, you must pay an additional $353.23 to the government.

The correct interpretation of the situation is: You must pay an additional $353.23.